JPMorgan Chase & Co (JPM) is scheduled to release last fiscal quarter's results before the opening bell on April 13, 2012. Let's take a look at how JPMorgan Chase & Co has done in recent quarters.
Who They Are:
JPMorgan Chase & Co., a financial holding company, provides various financial services worldwide. The company was founded in 1823 and is headquartered in New York. JPMorgan Chase & Co trades an average of 37.8 million shares per day and has a market cap of $169.3 billion.
Book Value: $48.66
Float Short: 0.86%
What To Expect:
On average, 23 analysts are expecting a drop of $-0.05 in earnings per share compared to last quarter's results of $0.01. Wall Street is expecting $-0.04 per share based on earnings estimates.
Recent Stock and Valuation Performance:
The current trailing twelve months P/E ratio is 9.9.
The forward P/E ratio is 9.23. In the last month, the stock has increased in price 8.26%, and -6.30% from one year ago.
It is clear to see the stock is performing much better than the overall market with a relative double digit gain.
When comparing to the S&P 500, the year to date difference is 20.10%.
The bottom line has rising earnings year-over-year of $18.98 billion for 2011 vs. $ 17.37 billion for 2010.
The short interest is relatively low at 0.86%.
Here are the last few quarters to get an idea how well the company performs compared to estimates:
(Click to enlarge)
Reported earnings per share compared to the mean estimate. Differences are rounded.
I like the April monthly $43 strike price call as a hedge into earnings. The premium is high and will fall after earnings are released. The premium is about $1.15 bringing a purchase cost basis down to under $41.90. If JPM moves higher you get to ride some of the gains and if not you will make money with the covered call even if JPM stays the same and has a lackluster earnings release.
Paid2Trade uses information believed to be correct, but is not guaranteed and is not independently checked for accuracy You may wish to use this article as a starting point of your own research with your financial planner.
Disclosure: I have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.
